Shall the Charter be amended to establish an Office of Public Accountability for the Department of Water and Power, overseen by an Executive Director appointed by a citizens committee and confirmed by the Council and Mayor for a five-year term, to provide public independent analysis of Department actions as they relate to water and electricity rates?

The DWP does not currently have an Office of Public Accountability (OPA) to provide
independent analysis and assessment of Department actions with respect to water and electricity
rates. Also, the Department does not have a Ratepayer Advocate to address consumer protection
matters.

THE PROPOSAL:

This measure would:

Establish the OPA to provide public reports and independent analysis of DWP actions as
they relate to water and electricity rates;

Provide that the OPA be overseen by an Executive Director appointed by a citizens
selection committee, established by ordinance, and confirmed by the Council and Mayor
for a five-year term;

Establish that the Executive Director report to, but not be directed by, the Board of Water
and Power Commissioners;

Provide that the OPA include a Ratepayer Advocate; and

Establish that the OPA budget be no less than 0.025 percent ofDWP annual water and
electricity revenues.

A YES VOTE MEANS:

You want to establish the Office of Public Accountability to provide public reports and
independent analysis of Department of Water and Power actions as they relate to water and
electricity rates.

A NO VOTE MEANS:

You do not want to establish the Office of Public Accountability to provide public reports and
independent analysis of Department of Water and Power actions as they relate to water and
electricity rates.

Adoption of this measure establishes a new Office of Public Accountability and provides
funding for the new Office from Department of Water and Power revenues. Funding will
be set by ordinance but shall not total less than .025 percent of the Department's annual
revenue from the sale of water and electric energy from the previous fiscal year. It is
anticipated that funding for the Office will be at least $1 million per year. Future savings
and/or costs to rate payers from creation of this oversight function cannot be quantified
at this time.

This measure would amend the Los Angeles City Charter (Charter) to establish an Office of Public Accountability (OPA) for the Department of Water and Power (DWP). The measure would also require a Ratepayer Advocate in the OPA.

The OPA would be overseen by an Executive Director who shall be appointed by a citizens committee to a five-year term, subject to confirmation by the Council and Mayor. The Executive Director shall be exempt from civil service and would report directly to, but not be instructed by, the Board of Water and Power Commissioners. The measure requires that the Council, by ordinance, establish appointment provisions for the citizens committee and removal procedures for the Executive Director. The removal provisions for the Executive Director must be similar to removal provisions for the Chief of Police, as specified in Charter Section 575(e).

The Charter amendment requires that the Council, by ordinance, establish the provisions for the operation of the OPA and the Ratepayer Advocate, which shall include, at a minimum, reporting schedules and requirements and consumer protection procedures. The OPA will be required to periodically issue public reports.

The primary role of the OPA will be to provide independent analysis of Department actions as they relate to water and electricity rates. The measure specifies that the OPA will have access to information to fulfill its responsibilities, and provides that the Executive Director will have the following authority and responsibilities:

Maintain full charge and control of all work of the OPA and the proper administration of its affairs;

Appoint, discharge, suspend, or transfer its employees;

Issue instructions to OPA employees in the line of their duties;

Submit to the City Administrative Officer (CAO) a proposed annual budget covering the anticipated expenditures of the OPA; and

Expend the funds of the OPA and perform such other duties as may be prescribed by ordinance.

The OPA's annual budget would be developed in cooperation with the CAO and shall be set by ordinance. The Charter amendment would require that the DWP fund the
OPA at a level no less than 0.025 percent of DWP annual revenues from the sale of water and electricity for the previous fiscal year. The OPA's budget could be higher than the minimum level if provided for by ordinance.

This measure will become effective if approved by a majority of voters.

Measure I creates the Office of Public Accountability, Ratepayer Advocate

YES on MEASURE I: Bring greater transparency to the DWP

For too long, the Los Angeles Department of Water and Power has proposed significant increases in our water and electricity rates with little explanation for their need and no guarantee of how the money would be spent. Despite recommendations by outside experts, DWP has not implemented studies to determine the efficiency of its operations.

DWP leaders have even refused to provide financial information to City Councilmembers who have questioned the need for rate increases. And because the DWP's budget is independent from the City's General Fund budget, there is little transparency of the Department's operations, finances, strategy, or long-term plans.

YES on MEASURE I: Hold DWP accountable to its customers

Measure I establishes a Ratepayer Advocate and Office of Public Accountability to shed greater light on the DWP's operations and finances. The Ratepayer Advocate will be an independent watchdog, charged with analyzing proposed increases in our water and power rates on a timely and continuous basis. Other matters may also be studied as needed.

YES on MEASURE I: Increase consumer protection

Measure I increases consumer protection by authorizing the Office of Public Accountability to investigate legitimate complaints from DWP customers and to propose recommendations to the DWP Board of Directors and management to address these issues.

Although it is a municipally owned utility, the DWP has acted with little accountability to its owners + the people of Los Angeles. DWP expects to spend more $60 billion over the next ten years. Its customers deserve to know whether those funds are being spent efficiently.

Enough is enough. Vote YES on MEASURE I to increase the Department of Water and Power's accountability and responsiveness to its customers.